Catenaa, Friday, June 20,2025- UK institutional investors managing money for retail clients are preparing to invest in crypto exchange-traded products (ETPs) pending regulatory approval, WisdomTree said Tuesday.
Dovile Silenskyte, WisdomTree’s Director of Digital Assets Research, said at DigiAssets 2025 that firms are ready to act “within a matter of weeks” if the Financial Conduct Authority (FCA) allows retail access to crypto ETPs.
WisdomTree received FCA approval last month to list its Physical Bitcoin and Physical Ethereum ETPs on the London Stock Exchange for professional investors. This signals a regulatory shift after the FCA previously banned crypto derivatives.
Silenskyte noted that most institutional investors favor Bitcoin products, which account for about 80% of likely allocations. Ethereum-focused ETPs would make up roughly 10%, with altcoin products comprising the remainder.
She highlighted Bitcoin’s mixed but unique performance, calling it the best-performing asset eight of the last 11 years but also the worst in three of those years. With low correlation to traditional assets, Bitcoin can improve risk-return profiles in diversified portfolios, attracting large investors.
For those less familiar with cryptocurrencies, Silenskyte said investing in diversified baskets of digital assets will be the preferred approach, as selecting individual tokens remains complex.
WisdomTree also filed for an XRP ETF in the U.S., though Bitcoin remains the dominant focus among investors.
